By Paula Aven Gladych
Private-sector workers in Maryland
who do not have access to an employer-sponsored retirement plans could have access to a state-sponsored plan under new legislation being proposed by lawmakers in the state.
Sen. James Rosapepe, Sen. Richard Madaleno and Del. Tom Hucker will announce the legislation they are sponsoring at a press conference on Thursday, Feb. 27. They will be joined by represenatives of SEIU, AARP and Maryland Business, a small business advocacy organization.
The state-sponsored, nonprofit plan would be available to anyone in the private sector who does not have access to a retirement vehicle at work. A hearing is scheduled for Thursday morning before the Senate Pensions Subcommittee.
Other states are working on or have adopted similar proposals, including California, Massachusetts and Oregon. California became the first state to create a statewide retirement savings plan
for private workers who don’t have access to an employer-sponsored retirement plan. The California Secure Choice Retirement Savings Program was approved by the governor in September 2012. In March 2012, Massachusetts passed legislation to allow nonprofit organizations with fewer than 20 employees to set up a contributory retirement savings plan that will be overseen by the state treasurer’s office. In July of last year, the Oregon House of Representatives passed a bill establishing a task force to research creating a statewide retirement plan for private-sector workers.
Originally published on BenefitsPro.com